The most popular DSLR's in your price range are the Canon EOS650D and 60D, Nikon D3200, D5200 and D7000, Sony SLT A58, A65 and A77 and Pentax K-30 and K-5. All are very good, with overall quality within each brand increasing with price. I can't recommend one in particular without knowing more about what you're looking for.

There are several issues you may want to consider.
1. Is there any brand of camera you particularly like? For instance if you like Canon point and shoots you'd probably feel most comfortable with a Canon DSLR.
2. Most DSLR's have traditional movable mirrors and optical viewfinders, some (especially from Sony) use a different technology that requires the use of electronic viewfinders. Does it make a difference to you?
3. Do you want more than one lens? Most DSLR's come with an all-purpose kit lens but, for long range shooting, you may also want to buy a long lens.
4. Small mirrorless interchangeable lens cameras have recently become very popular. They have many aspects of a DSLR, including excellent image quality, but are much smaller. Are you interested in these?
5. Since you only intend to use your camera twice a year on vacation, perhaps a more portable camera would be better for you. A point and shoot only has one all purpose lens, which can be used to take close macro shots and long range shots. Perhaps an excellent point and shoot with long zoom capability, like the Sony HX20v, would be a better vacation camera than a bulky DSLR?

* What will you generally use the camera for?
Photography on vacation (twice a year)

Most of us prefer a light weight camera for vacations. Unless the vacation is in pursuit of wildlife, or something specialized like that. Do not underestimate the burden of lugging a DSLR plus lenses all day long. This is really why the new "mirrorless" class of camera was created.

* Will you be making big prints of your photos or not?
No

Will you be shooting a lot of indoor photos or low light photos?
Not very much.

Will you be shooting sports and/or action photos?
No

DSLR cameras are all about performance. But these answers side step performance. Again, a DSLR may well not be the best fit for you. There are a wide range of camera designs that could be a fit, which can be confusing. One important step would be to visit a good camera store and handle these different types for yourself. Links to lots more thoughts on camera selection -

The most popular DSLR's in your price range are the Canon EOS650D and 60D, Nikon D3200, D5200 and D7000, Sony SLT A58, A65 and A77 and Pentax K-30 and K-5. All are very good, with overall quality within each brand increasing with price. I can't recommend one in particular without knowing more about what you're looking for.

There are several issues you may want to consider.
1. Is there any brand of camera you particularly like? For instance if you like Canon point and shoots you'd probably feel most comfortable with a Canon DSLR.
2. Most DSLR's have traditional movable mirrors and optical viewfinders, some (especially from Sony) use a different technology that requires the use of electronic viewfinders. Does it make a difference to you?
3. Do you want more than one lens? Most DSLR's come with an all-purpose kit lens but, for long range shooting, you may also want to buy a long lens.
4. Small mirrorless interchangeable lens cameras have recently become very popular. They have many aspects of a DSLR, including excellent image quality, but are much smaller. Are you interested in these?
5. Since you only intend to use your camera twice a year on vacation, perhaps a more portable camera would be better for you. A point and shoot only has one all purpose lens, which can be used to take close macro shots and long range shots. Perhaps an excellent point and shoot with long zoom capability, like the Sony HX20v, would be a better vacation camera than a bulky DSLR?

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Thanks for the reply

I have very basic knowledge about cameras. For past 7 odd years, I am using Sony DSC T100 camera (8MP point and shoot). Although its working perfectly fine, i thought it is time to upgrade to a better camera. As such my requirement is only for a good picture quality while on a family vacations

1. I dont like any particular brand but heard from friends that canon and nikon are the best
2. It does not make a difference to me
3. I will be using only all-purpose lens only. For the same (buying better all-purpose lens), i dont mind spending extra
4. I will definitely look into this. I will research about this now
5. Maybe you are right. I am undecided in this aspect

* What will you generally use the camera for?
Photography on vacation (twice a year)

Most of us prefer a light weight camera for vacations. Unless the vacation is in pursuit of wildlife, or something specialized like that. Do not underestimate the burden of lugging a DSLR plus lenses all day long. This is really why the new "mirrorless" class of camera was created.

* Will you be making big prints of your photos or not?
No

Will you be shooting a lot of indoor photos or low light photos?
Not very much.

Will you be shooting sports and/or action photos?
No

DSLR cameras are all about performance. But these answers side step performance. Again, a DSLR may well not be the best fit for you. There are a wide range of camera designs that could be a fit, which can be confusing. One important step would be to visit a good camera store and handle these different types for yourself. Links to lots more thoughts on camera selection -

Thanks for the links. They were really helpful
I am thinking of buying mirrorless camera
I have not compared many cameras but Canon EOS series look good to me.
2 of my friends have also purchased the same series and they are very happy with it

Will definitely visit a store this weekend and will look at these cameras